Rethinking ‘Jugaad’: A Call for Evolution in India’s Business Language

The term “Jugaad” has long been embedded in the lexicon of India’s business culture, often used to describe a resourceful, innovative approach to solving problems with limited resources. In a rapidly changing economic landscape, however, Chief Economic Advisor (CEA) Anantha Nageswaran has raised a provocative call for rethinking this term. His argument: as India’s economy shifts towards more sophisticated technological advancements and global business practices, ‘Jugaad’ may no longer be adequate as a symbol of the nation’s entrepreneurial spirit. Instead, Nageswaran advocates for a redefined approach to business thinking, one that aligns more closely with India’s evolving position in the global economic order.

Understanding the Cultural and Economic Significance of ‘Jugaad’

At its core, ‘Jugaad’ is more than just a word—it represents a mindset that has helped India navigate numerous economic challenges. Translated loosely as “a quick fix” or “hack,” ‘Jugaad’ embodies the ingenuity and resilience required to make the most out of scarce resources. It’s the art of improvisation, where innovation is often driven by necessity rather than luxury. From small businesses to large enterprises, the concept has been central to the way Indian entrepreneurs approach obstacles.

India’s burgeoning startup ecosystem, which has become one of the world’s largest, has been built on this very foundation. Small-scale enterprises, in particular, have relied on creative problem-solving to overcome logistical hurdles, infrastructural bottlenecks, and financial constraints. In many ways, ‘Jugaad’ has been an emblem of the country’s informal economy, where flexibility and adaptability reign supreme.

However, as India steps into the future…

…the situation is changing rapidly. With economic reforms, government initiatives like “Make in India,” and India’s rising global influence, the entrepreneurial climate is undergoing a shift. In light of these transformations, Chief Economic Advisor Anantha Nageswaran’s call for rethinking the term ‘Jugaad’ invites a deeper discussion on how language and culture impact business practices in India.

A Call for Change: Rethinking India’s Business Language

Nageswaran’s critique of ‘Jugaad’ highlights an emerging need to elevate India’s business vocabulary beyond survivalist strategies. He suggests that while ‘Jugaad’ worked well in an era marked by resource scarcity, it may not be the most appropriate term for India’s new trajectory. As the country leans towards a more knowledge-based economy with advanced technological innovations, a mindset built on sustainability, quality, and long-term solutions is needed more than ever.

One of Nageswaran’s key points is that ‘Jugaad’ reflects a quick-fix mentality—one that often sacrifices quality and efficiency in the name of expediency. In industries like technology, manufacturing, and healthcare, where India is aiming to compete on a global scale, improvisation can no longer be a substitute for systematic planning and disciplined execution.

For instance, when it comes to technology startups or multinational corporations operating in India, the pressure is on to deliver high-quality products and services that can stand the test of global competition. ‘Jugaad’—which was once a virtue of resourcefulness—can inadvertently promote shortcuts, potentially undermining long-term success.

The Growing Importance of Innovation Ecosystems

The shift towards innovation ecosystems—supported by institutional frameworks, venture capital, and government policies—has led to a greater emphasis on research, development, and scalability. In such an environment, businesses need to focus not only on solving immediate problems but also on building sustainable models that contribute to long-term value creation.

For India to transition from an emerging market to a developed economy, the focus should be on fostering innovation that can be standardized and replicated, not just on finding quick, temporary fixes. A change in business language can help emphasize the importance of rigorous thinking, careful planning, and consistency in execution. Moreover, evolving terminology helps align the country’s economic vision with the needs of future generations.

Implications for India’s Business Practices

The call for a shift in business language is not just a matter of semantics—it has practical implications for business practices in India. As global supply chains become more interconnected and complex, India’s businesses must adopt more sophisticated methods of management and governance.

• Standardization vs. Improvisation: While ‘Jugaad’ encourages out-of-the-box thinking, it may also promote a lack of consistency in business processes. As companies scale, standardized procedures become more critical for maintaining quality and meeting international benchmarks.
• Sustainability and Quality Control: Industries such as manufacturing and clean energy require systematic approaches to ensure sustainable growth. A shift away from the ‘Jugaad’ mindset towards one focused on quality, sustainability, and compliance with international regulations can boost India’s competitiveness.
• Globalization and Cultural Perception: As India engages more deeply with global markets, it is essential to adopt business practices that are seen as reliable, transparent, and long-term oriented. The term ‘Jugaad’ may be misunderstood in international contexts as an indicator of subpar quality or unprofessionalism.

The Role of Education and Government Policy

For a nationwide shift in business culture, education and government policy will play a central role. The government’s “Startup India” and “Atmanirbhar Bharat” initiatives have already started to lay the foundation for a new generation of entrepreneurs who are focused on innovation, global competitiveness, and high-quality standards. Educational institutions, too, need to move beyond teaching just the practicalities of improvisation and instead emphasize global best practices, structured problem-solving, and strategic planning.

Furthermore, the development of a robust intellectual property (IP) regime in India is essential to foster a culture of long-term innovation rather than short-term problem-solving. By encouraging businesses to protect their innovations and invest in research and development, India can build a more sustainable and globally competitive economy.

The Potential of a New Business Language

While changing a deeply ingrained concept like ‘Jugaad’ will not happen overnight, the need for a new business language is evident. The shift could give rise to new terms that better reflect the aspirations of India’s emerging business class—terms that emphasize collaboration, sustainability, and global competitiveness.

For example, words like “innovation,” “sustainability,” “resilience,” and “scalability” could take center stage, replacing the short-term focus of ‘Jugaad’ with a more comprehensive, growth-oriented vocabulary. These terms can help align India’s business practices with the demands of the 21st century economy, where collaboration, ethical governance, and long-term strategy are becoming as important as speed and adaptability.

Conclusion: Moving Beyond ‘Jugaad’

As India continues its journey towards becoming a global economic powerhouse, its business language must evolve to reflect its new realities. ‘Jugaad’ served as a symbol of ingenuity during times of scarcity and constraint. However, as the nation shifts towards a more sophisticated, technology-driven economy, it is crucial to embrace a language that supports quality, sustainability, and long-term success.

The evolution of business terminology is more than just a linguistic shift—it is a reflection of India’s economic maturation. By embracing a new vocabulary that aligns with global standards and best practices, India can position itself as a leader in innovation, attracting investment, fostering entrepreneurship, and creating an environment that rewards sustainable growth.

As this conversation continues to unfold, it will be interesting to see how language, culture, and business practices converge in shaping India’s economic future. For now, the call for rethinking ‘Jugaad’ marks an important step in redefining what it means to be an entrepreneur in a rapidly changing world.

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